Railways Extends Travel Insurance to Counter Tickets

Indian Railways has extended its optional travel insurance facility to passengers booking reserved train tickets at railway reservation counters, bringing offline ticket buyers under a scheme that was previously available only for online bookings. The move follows a Supreme Court order directing the Railway Board to make the facility accessible to passengers purchasing tickets through offline channels.

Under the revised arrangement, passengers opting for travel insurance will have to pay a premium of 45 paise per ticket, the same rate applicable to online bookings. The Railway Board has directed all zonal railways to implement the facility by October 27 and ensure that reservation staff inform passengers about the availability of insurance.

The extension is particularly relevant for people in remote areas and those who continue to depend on railway reservation counters instead of online platforms. Although more than 87% of railway tickets are booked online, a significant number of passengers still purchase reserved tickets directly from railway counters.

Railway Board Sets October 27 Deadline for Implementation

In a directive issued on Saturday, the Railway Board instructed all zonal railways to introduce the optional travel insurance facility for tickets booked through Passenger Reservation System (PRS) counters by October 27, in accordance with the Supreme Court’s order.

The Board has also asked railway officials to issue clear instructions to reservation supervisors and counter staff. Employees must explain that insurance is optional, record passengers’ choices correctly, collect the applicable premium through digital payment methods and respond to queries about the scheme.

Passengers who choose to purchase insurance will receive policy-related information on their registered mobile numbers. The Board has emphasised that accurate passenger information is essential to ensure that the relevant details reach the insurance company and the policy can be issued.

According to the Railway Board’s instructions, the premium must be collected digitally along with the ticket fare when a passenger opts for insurance. The facility will not be compulsory for passengers purchasing reserved tickets at railway counters.

Travel Insurance Premium Fixed at 45 Paise Per Ticket

The premium for counter-ticket travel insurance has been set at 45 paise per ticket, matching the charge for passengers booking reserved tickets online. Passengers can decide whether to purchase the insurance while booking their tickets.

The Railway Board has directed reservation staff to capture the passenger’s mobile number, which is mandatory, along with other required personal details. These details must be recorded accurately under the prescribed reservation procedure to facilitate the transfer of information to the insurance provider.

The Board stated that passengers opting for insurance must be informed that their policy details will be communicated to their registered mobile numbers. This requirement is intended to ensure that customers receive the information needed to understand and access their insurance coverage.

Digital payment is mandatory for the insurance premium, even when the ticket itself is being booked at a physical railway counter. The revised procedure therefore combines offline ticket booking with digital payment for the optional insurance component.

Existing Online Insurance Rules Will Apply to Counter Tickets

The Railway Board has clarified that the existing terms and conditions of the Optional Travel Insurance Scheme (OTIS), issued by the Indian Railway Catering and Tourism Corporation (IRCTC) for e-ticket passengers, will also apply to insurance policies issued for tickets purchased through PRS counters.

Under the existing guidelines, the scheme is available to Indian citizens booking eligible reserved tickets. It covers confirmed, partly confirmed and Reservation Against Cancellation (RAC) tickets at the time of booking.

The insurance option must be selected when the ticket is booked. Passengers cannot assume that coverage will automatically apply to every railway journey or that it can be added later under the same booking arrangement.

The scheme also has specific eligibility conditions for children. Children below five years of age travelling without a berth or seat are not covered under the existing policy. Children aged five to 11 years are eligible when booked with or without a berth, subject to the applicable scheme conditions.

Why the Supreme Court Ordered Insurance for Offline Ticket Buyers

The Supreme Court directed the Railway Board on October 6 to extend the optional travel insurance facility to passengers booking reserved tickets offline. The order addressed the difference in access between online and counter-based ticket bookings.

Although railway ticketing has increasingly shifted towards digital platforms, many passengers, particularly those in remote areas, continue to rely on physical reservation counters. Extending insurance to counter tickets is intended to make the optional coverage accessible to these passengers as well.

The Supreme Court observed that the authorities had been given sufficient time to develop a mechanism for extending coverage to people from economically disadvantaged sections who frequently purchase tickets at railway reservation counters.

“Court has granted sufficient time to the authorities to devise a mechanism for extending such coverage to persons belonging to the lowest strata of society, who, in most cases, purchase their tickets at the railway reservation counters while undertaking journeys by train,” the court said.

The Railway Board’s latest directive establishes the process for offering insurance through the offline booking system, including how passengers can choose coverage and how the premium and personal details must be handled.

What Does Indian Railways Travel Insurance Cover?

The optional travel insurance scheme provides financial protection against specified losses arising from railway accidents and other covered untoward incidents. Depending on the circumstances and the terms of the policy, coverage includes death, permanent total disability, partial disability, hospitalisation expenses for injuries and the transportation of mortal remains.

The sum insured ranges from Rs 2 lakh to Rs 10 lakh, depending on the severity and nature of the covered event. The precise benefit payable is governed by the policy’s terms and the applicable conditions for each type of claim.

Travel insurance can provide additional financial protection for passengers and their families in the event of serious injuries or fatalities. However, passengers should review the policy details to understand the coverage limits, eligibility rules and claim requirements before opting in.

Railways’ Compensation Obligations Remain Separate From Insurance

The optional travel insurance scheme is separate from the compensation that Indian Railways may be legally required to pay in qualifying cases involving train accidents or untoward incidents. The availability of third-party travel insurance does not mean that the Railways’ existing legal responsibilities are replaced by the insurance policy.

Under the optional scheme, the insurance claim and related liabilities are handled between the passenger or eligible claimant and the insurance company, in accordance with the policy conditions. The Railways facilitate access to the insurance option through the ticket-booking system, but the insurer is responsible for the policy and its claims process.

Passengers should therefore distinguish between statutory compensation payable under applicable railway laws and benefits available through a separately purchased insurance policy. The two may operate under different eligibility requirements and procedures.

General-Class Passengers Remain Outside the Existing Scheme

While the extension brings reserved counter-ticket passengers within the optional insurance facility, passengers travelling in general or unreserved second-class accommodation remain outside the existing scheme. These passengers account for a substantial share of railway travel in India.

The latest change expands access across the reserved-ticket booking channels, but it does not extend the policy to every category of railway passenger. General-class travellers should not assume that the same insurance coverage is available under the revised arrangement.

The exclusion highlights the limits of the current scheme even as the Railways moves to make it more accessible to people who do not book tickets online.

What Passengers Should Know Before Opting for Insurance

Passengers booking reserved tickets at railway counters should remember that the travel insurance facility is optional and carries a premium of 45 paise per ticket. Those who choose coverage must make the payment digitally and provide accurate passenger information, including a valid registered mobile number.

Policy details are expected to be sent to the registered mobile number after the insurance is issued. Passengers should review those details and retain the relevant information for future reference.

Eligibility depends on the existing IRCTC scheme rules, including the requirement that the passenger be an Indian citizen and hold an eligible confirmed, partly confirmed or RAC ticket at the time of booking. The scheme’s conditions also specify how children are covered.

The extension is a significant change for passengers who rely on railway reservation counters, bringing them access to the same optional travel insurance facility offered to online reserved-ticket buyers. However, the coverage remains subject to the policy’s terms, and general-class passengers continue to fall outside the existing insurance arrangement.